Standard & Poor’s sees a drop in Ford’s future stock price according to their latest rating of the company’s stock from hold to sell.
“Although expected, Ford’s confirmation that it has substantially agreed to sell Volvo Car Corp. to China’s Zhejiang Geely does contrast with General Motors’ failure to sell various assets such as the Saturn brand,” analyst Efraim Levy wrote in a statement released Dec. 23.
With Volvo gone, Ford is expected to sink all of their efforts into improving and marketing their core brands. Ford is expected to continue a modicum of cooperation with Volvo, however analysts at this point are considering Volvo an amputated limb of Ford at this point.
– By: Stephen Calogera
Source: Automotive News (Subscription Required)